Crime Against Humanity: the Holy GAAP, 2
The nature of accounting and of the balance sheet is that of recording the events that are relevant for the economic entity to which they relate on the basis of these two principles:
one is recording the events in a way that makes them comparable, and this implies quantifying them in money as a homogeneous unit of account;
the other is recording the events that actually occur, and this implies that the recording occurs after the fact.
The accounting trick, if we fancy being euphemistical, or if we prefer to call things with their name, the false accounting, is this:
the creation of scriptural money out of nothing has been organised in such a way that two events, that normally occur at a distance of time from each other, in the case of creation of money out of nothing occur simultaneously instead, and this simultaneity is used to conceal the fact that one of these two events, obviously the crucial one, is not booked.
The acquirement of a resource is one thing, and an accounting event; an employment of that same resource is ANOTHER thing, and ANOTHER accounting event. They are two DISTINCT AND SEPARATE events, both in reality and in accounting.
Let’s see it in practice by comparing the different strategies of two criminals:
A colonialist invades a foreign country and butchers, enslaves and reduces to misery its inhabitants, to the aim of robbing the gold of the country. Later on, he will use that gold for a further crime, let us assume to fund the growth of a monopoly he’s an accessory in.
Two events, acquirement and employment, distinct in reality, remain distinct in accounting, too: in his balance sheet, the colonialist initially enters a book entry of active occurrence for the acquirement of the gold, and then enters another book entry of employment for the investiment of that gold in the funding of the monopoly. What he will use that gold for is immaterial here for our purposes; what counts is that the fact that blood−stained gold entered his assets without him giving anything in exchange is perfectly visible in the balance sheet because there is a distinct and separate book entry that indicates it.
